CSA making us ill

kelloggs36

Do you work and earn in your own right? sorry to ask more questions - what is the amount outstanding on the mortgage and what is the interest rate?

kelloggs36

Based on what I have so far, the assessment would be nil (assuming you have no net income of your own)- if you work, or you refuse to give any info about you, the PWC could apply for a departure on the grounds that you could contribute towards the housing costs.

Countrymummy

No I don't work, I stay at home looking after the little ones. Just out of interest, how did you come to nil assessment? Our mortgage balance is around 66k and we are on a standard variable rate at the moment or around 2.5%. I really appreciate you looking at this for us.

Countrymummy

Hi Kellogs, I'vr looked through some of your old posts and think I get how you worked it out. Can you just confirm please if this is right?

17k annual = 326.92 weekly income
tax credit = 75.00 weekly

income = 401.92

Less couples rate 102.75
2 child rates @ 57.57
57.57
family element 17.40
council tax 25.15
ppi 2.03
mortgage interest 50.00 ish

(Didn't know if the business loan monthly payment is allowed or the home insurance even though it states it is a condition of our mortgage so haven't included these amounts, would be home ins £7 p week and loan repayment 32.08 per week so havent included them).

Take the allowances off our income = 89.45, halved = 44.73 notional.
I don't work so our protected income is the allowances above = 312.47 add £30 = 342.47
deduct this from income of 401.92 = 59.45
15% of this is 8.92
Add the 8.92 and another 30 to the above = 381.39 protected income.
When you take the notional from the income it comes to less than the protected. (401.92 - 44.73 = 357.19) does that mean we just pay the difference between our income and the protected, which would be around £20? Am i way off track and do you think tat csa would consider the home ins and business loan? I would really appreciate it if you could look through these figures for me, My husbands not great with numbers and I lose him at the beginning of this!! I just want to make sure that I am not getting it so wrong.

kelloggs36

The way you do it is based purely on the income of the NRP - and at this stage only the NRP gets any allowance, plus allowance for the children. £326.92 - £65.45 - ££57.57 - £57.57 - £17.40 - £83.30 = £22.85. Notional = £22.85.

Total household income = £326.92 + £75 + £34 (child benefit) = £435.92.

£435.92 - £102.75-£115.14 - £17.40 - £25.15-£30 - £31 = £114.14 X 15% = 17.12. Protected income = £338.56

Total household income £435.92 - £338.56 = £97.36 Therefore you pay notional amount.

I was going on the 13k plus £30 per week tax credits. On your current amount, it would be as stated here, give or take, the net income is pennies different taking the pension off.

Countrymummy

So we would just pay the 22 or would it be 22 and then a percentage of whatever is left over between the income and protected after the notional had been deducted? Sorry to keep on! I didn't realise they took child benefit into it even.

kelloggs36

No, just the £22 - based on the 17k income, but nil based on the 13k income.

Countrymummy

Thank you so much Kelloggs, your workings will certainly help me sleep a little better now until the assessment comes through. If it is around the £22 mark, then I feel that we were justified in what we were offering onthe private arrangement. Thanks again :beer: